FDD Items 3 & 4 · 2026 filing
Baymont Inn & Suites litigation history
What Baymont Inn & Suites disclosed about lawsuits, arbitrations and bankruptcy in the 2026 Franchise Disclosure Document. Item 3 lists the material legal actions a franchisor must report; Item 4 covers bankruptcy. This is the franchisor's own disclosure, not a court record, and not legal advice.
Items 3 (litigation) & 4 (bankruptcy) at a glance
What the filing discloses
- Cases disclosed
- 24
- Item 3, as counted in the filing
- Largest settlement, franchisor's own cases
- None stated
- Bankruptcy (Item 4)
- None
- Franchisor, parent, predecessor or officer
- Filing year
- 2026
- Disclosures cover the prior ten years
Extracted from the 2026 Franchise Disclosure Document
Item 3: litigation
Pending against franchisor: LuxUrban Hotels (breach of contract, multiple defendants including bankruptcy); SB Hospitality Palm Springs (breach of contract, ongoing). Pending against affiliates: Multiple class actions including hotel pricing/antitrust suits (Benoit, Jantunen, Proulx, In Re Extended Stay, Hanson Dai), Beard Real Estate (breach of contract), Tumas Raju Patel (CA franchise violations), Norma Knuth (Canada DMF class action). Resolved: FTC cybersecurity case (settled), resort fees cases (Thomas Luca, Jay Brodsky, Joyce Roberts), Presidential Hospitality (settled). 8 suits against franchisees for non-payment filed in 2025.
Item 3 (litigation) · 24 matters disclosed · 4 pending listed
Litigation cases
The franchisor
Pending (2)
Wyndham Hotel Group, LLC, TMH Worldwide, LLC, Travelodge Hotels, Inc, and Baymont Franchise Systems, Inc. v. LuxUrban Hotels, Inc., LuxUrban RE Holdings LLC, CorpHousing RSL LLC, and Brian Ferdinand
pendingBrought by the franchisor · filed 2024-05-16 · Superior Court of New Jersey, Morris County · MRS-L-000977-24; related Bankruptcy Petitions 25-12000 (S.D.N.Y.) and 8-25-74635 (E.D.N.Y.)
“… (The Superior Court of New Jersey, Morris County, Case No. MRS-L-000977-24).”Page 21 of the 2026 FDD, Item 3
Outcome: “On December 22, 2025, Wyndham Hotel Group, LLC, TMH Worldwide, LLC, Travelodge Hotels, Inc., and Baymont Franchise Systems, Inc. filed a Motion to Strike the Answer, Counterclaim, and Third Party Complaint of Corphousing, without prejudice, in the NJ State Court litigation. The NJ State Court granted Wyndham’s Motion on January 9, 2026.” (page 22)
Baymont Franchise Systems, Inc. v. SB Hospitality Palm Springs, LLC, Nam Min Cho and Hanhe Cho
pendingBrought by the franchisor · filed 2019-02-26 · United States District Court for the District of New Jersey · 2:19-cv-6954-KM-MAH
“… (United States District Court for the District of New Jersey, Case No 2:19-cv-6954-KM-MAH).”Page 22 of the 2026 FDD, Item 3
Outcome: “On December 8, 2025, Baymont Franchise Systems, Inc. filed a Motion for Default Judgment as to all defendants. The Motion is currently pending.”
Concluded (1)
Presidential Hospitality, LLC, Ace Development, Inc. and Sam Blue v. Wyndham Hotel Group, LLC, Baymont Inn & Suites Franchise Systems, Inc. and Microtel Inn and Suites Franchising, Inc.
concludedBrought by a franchisee · filed 2017-09-12 · Eleventh Judicial District Court, County of San Juan, New Mexico; United States District Court for the District of New Jersey · D-1116-CV-2017-01329
“… (State of New Mexico, County of San Juan, Eleventh Judicial District Court, Case D-1116-CV-2017-01329).”Page 25 of the 2026 FDD, Item 3
Outcome: “In September 2018, the plaintiffs agreed to settle both the New Jersey Action and the New Mexico Action, with payment to the Wyndham Entities, and both actions were dismissed with prejudice.”
Status not stated in the filing (9)
Baymont Franchise Systems, Inc. v. Sharma Broadmoor LLC and Amit Sharma
Brought by the franchisor · filed 2026-02-10 · United States District Court for the District of New Jersey · 2:26-cv-01339
“… 2/10/2026 Amended 2/17/2026 United States District Court for the District of New Jersey 2:26-cv-01339”Page 28 of the 2026 FDD, Item 3
Days Inns Worldwide, Inc. and Baymont Franchise Systems, Inc. v. Arihant of SC LLC, Tulsa Stillwater Hospitality, LLC, South Hill Hospitality LLC, Bhavik Shah, Mital Shah, and Priyank Shah
Brought by the franchisor · filed 2026-02-24 · United States District Court for the District of New Jersey · 2:26-cv-01808
“… 2/24/2026 United States District Court for the District of New Jersey 2:26-cv-01808”Page 28 of the 2026 FDD, Item 3
Baymont Franchise Systems, Inc. and Wyndham Hotel Group, LLC v. Samit Naik
Brought by the franchisor · filed 2025-12-30 · United States District Court for the District of New Jersey · 2:25-cv-1903
“… 12/30/2025 United States District Court for the District of New Jersey 2:25-cv-1903”Page 27 of the 2026 FDD, Item 3
Baymont Franchise Systems, Inc. and Wyndham Hotel Group, LLC v. Shiv Sakhi LLC and Manubhai M. Shah
Brought by the franchisor · filed 2025-12-31 · United States District Court for the Central District of Illinois · 3:25-cv-03413
“… 12/31/2025 United States District Court for the Central District of Illinois 3:25-cv-03413”Page 28 of the 2026 FDD, Item 3
Baymont Franchise Systems, Inc. v. Amber Motel, LLC
Brought by the franchisor · filed 2025-05-08 · Superior Court of New Jersey Morris County, Law Division · MRS-L-1066-25
“… 5/8/2025 Superior Court of New Jersey Morris County, Law Division MRS-L-1066-25”Page 27 of the 2026 FDD, Item 3
Baymont Franchise Systems, Inc. v. Developer Inn Orlando North LLC, Leonardo Luciano Bagnato, and Maria Soledad Petrella
Brought by the franchisor · filed 2025-09-02 · United States District Court for the District of New Jersey · 2:25-cv-15170
“… 9/2/2025 United States District Court for the District of New Jersey 2:25-cv-15170”Page 27 of the 2026 FDD, Item 3
Baymont Franchise Systems, Inc. v. Osu OK Hospitality, LLC Maggie Zhang, Qingchun Wang, and Yi Dai
Brought by the franchisor · filed 2025-03-14 · Superior Court of New Jersey Morris County, Law Division · MRS-L-000656-25
“… 3/14/2025 Superior Court of New Jersey Morris County, Law Division MRS-L-000656-25”Page 27 of the 2026 FDD, Item 3
Baymont Franchise Systems, Inc. v. The Lake Shore Hospitality Inc. and Edom Lyatuu
Brought by the franchisor · filed 2025-07-28 · United States District Court for the District of New Jersey · 2:25-cv-13839
“… 7/28/2025 United States District Court for the District of New Jersey 2:25-cv-13839”Page 27 of the 2026 FDD, Item 3
Baymont Franchise Systems, Inc. v. Vincent Bentivegna
Brought by the franchisor · filed 2025-08-27 · United States District Court for the District of New Jersey · 2:25-cv-14971
“… 8/27/2025 United States District Court for the District of New Jersey 2:25-cv-14971”Page 27 of the 2026 FDD, Item 3
Parent, affiliates, master franchisor and subfranchisor
Pending (2)
Beard Real Estate Holding Two, LLC v. Travelodge Hotels, Inc. and Wyndham Hotels and Resorts, Inc.
pendingBrought by a franchisee · Travelodge Hotels, Inc. (THI); co-defendant Wyndham Hotels and Resorts, Inc. is the ultimate parent · filed 2025-08-04 · Circuit Court of Chicot County, Arkansas, Civil Division · 09-cv-25-119
“… (Circuit Court of Chicot County, Arkansas, Civil Division; Case No. 09-cv-25-119).”Page 23 of the 2026 FDD, Item 3
Outcome: “On September 10, 2025, the Wyndham Entities filed an Answer and Counterclaim against Beard Real Estate Holding Two, LLC and a Third-Party Complaint against Laurette Juarez Beard. The Wyndham Entities denied the Complaint allegations and asserted claims for breach of contract and unjust enrichment. Specifically, the Wyndham Entities seek damage for unpaid liquidated damages, unpaid technology fees, interest, and ...”
Tumas Raju Patel and Kalpesh Solanki v. Wyndham Hotels and Resorts, Inc., Wyndham Hotel Group, and Super 8 Worldwide, Inc.
pendingBrought by a franchisee · Wyndham Hotels and Resorts, Inc. (ultimate parent) and Wyndham Hotel Group (parent); Super 8 Worldwide, Inc. is an affiliate · filed 2025-12-02 · United States District Court, Central District of California · CV25-03815
“… (United States District Court, Central District of California; Case No. CV25- 03815).”Page 24 of the 2026 FDD, Item 3
Outcome: “The Wyndham Entities deny these allegations and the matter is pending.”
Concluded (1)
FTC v. Wyndham Worldwide Corporation, et al.
concludedGovernment or regulatory action · Wyndham Worldwide Corporation (the pre-2018 holding company) with Wyndham Hotel Group, LLC, Wyndham Hotels and Resorts, LLC and Wyndham Hotel Management, Inc. · filed 2012-06-26 · United States District Court for the District of New Jersey (transferred from the District of Arizona) · 13-cv-1887 (ES)(JAD)
“… (United States District Court for the District of New Jersey, Case No. 13-cv-1887 (ES)(JAD)). On June 26, 2012, the U.S. Federal Trade Commission (“FTC”) filed a lawsuit in Federal District Court for the District of Arizona against Wyndham Worldwide Corporation, Wyndham Hotel Group, LLC, Wyndham Hotels and Resorts, LLC and Wyndham Hotel Management, Inc. (the “Wyndham Entities”), alleging unfairness and deception-based violations of Section 5 of the FTC Act in connection with three prior cyberattacks”Page 27 of the 2026 FDD, Item 3
Outcome: “The parties settled the case by executing a Stipulated Order for Injunction, which does not hold the Wyndham Entities liable for any violations, nor require it to pay any monetary relief. The Court entered the Order and dismissed the case with prejudice on December 11, 2015.”
This list shows 15 of the 24 matters Item 3 discloses; the rest are in the filing.
Item 3 lists the litigation the franchisor must disclose; a matter against a parent, an affiliate or a named officer is not a matter against the franchisor, and pending claims are allegations, not findings.
Disclosure signals that moved the score
How this shows up in the verdict
- Active litigation including breach of contract suits against franchisees, price-fixing class actions, and Destination Marketing Fee disputes suggest systemic franchisor-franchisee conflicts
The verdict grade is FranchiseVerdict's editorial assessment across SBA loan performance, unit growth, revenue and disclosure signals. It is not investment advice.
Before you weigh a lawsuit
How to read Item 3
A franchisor must disclose pending actions and any material civil action involving the franchise relationship, plus convictions or civil judgments for fraud, unfair or deceptive practices, or franchise-law violations, going back ten years. A case the franchisor brought against a franchisee counts too. Item 3 does not include every dispute: settled claims below the materiality line and matters resolved in private arbitration can be absent.
Questions worth asking current and former franchisees, using the contact list in Item 20:
- Were you, or anyone you know in the system, party to a dispute with the franchisor?
- Was it resolved by settlement, arbitration or a court, and on what terms?
- Has the number of disputes gone up or down since you signed?